2024: A Year of Crypto Transformation—Bitwise’s Bold Predictions for 2025
2024 marked a pivotal year in the crypto industry, driven by record-breaking performance, institutional adoption, and regulatory shifts. Bitwise’s Chief Investment Officer Matt Hougan and Head of Research Ryan Rasmussen presented an insightful outlook for 2025, emphasizing the transformative trends that could shape the future of digital assets. Here’s a breakdown of their top predictions:
1. Bitcoin, Ethereum, and Solana Will Reach New Highs
Following strong gains in 2024—128%, 62%, and 130% for Bitcoin, Ethereum, and Solana, respectively—Bitwise predicts all three assets will hit new all-time highs in 2025. Price targets include:
- Bitcoin: $200,000
- Ethereum: $7,000
- Solana: $750
Key drivers include tighter supply post-halving, increasing institutional adoption, and supportive macroeconomic conditions.
2. Bitcoin ETFs Will Continue to Thrive
Spot Bitcoin ETFs, which saw $31.7 billion in inflows in 2024, are expected to attract even more investment in 2025. Increased participation from major wirehouses and institutional investors could significantly expand the market.
3. Coinbase Will Surpass Charles Schwab
Bitwise projects that Coinbase will become the world’s most valuable brokerage, with its stock exceeding $700 in 2025. This milestone would signify crypto’s deeper integration into mainstream finance.
4. The “Year of the Crypto IPO”
Bitwise foresees a surge in crypto unicorn IPOs in 2025, with companies like Circle, Kraken, and Anchorage likely to go public. This wave of public offerings would mark a turning point for the industry, attracting broader investor interest.
5. AI-Driven Memecoins Will Dominate
Tokens launched by AI agents are expected to drive a new wave of memecoin mania in 2025, building on the speculative trends of 2024. While these tokens may lack utility, they demonstrate the creative intersections of AI and blockchain.
6. Countries Holding Bitcoin Will Double
The number of nations holding Bitcoin as a reserve asset is predicted to rise from nine to eighteen, fueled by global economic uncertainty and Bitcoin’s growing appeal as “digital gold.”
7. Crypto Integration Into Indexes
Coinbase is projected to join the S&P 500, while MicroStrategy could enter the Nasdaq-100, bringing crypto exposure to nearly every U.S. investor through indexed funds.
8. Crypto in Retirement Plans
A potential shift in U.S. Department of Labor guidance could allow crypto in 401(k) plans, unlocking billions in new inflows. Even a 1% allocation could bring $80 billion into the market.
9. Stablecoins and RWAs on the Rise
Stablecoin assets are expected to double to $400 billion, driven by U.S. legislation and adoption in global trade and fintech. Meanwhile, tokenized real-world assets (RWAs) are forecasted to triple, surpassing $50 billion in value as Wall Street embraces blockchain.
Looking Ahead to 2029
Bitwise’s long-term outlook predicts Bitcoin will overtake gold’s $18 trillion market cap by 2029, trading above $1 million. This audacious vision underscores the transformative potential of crypto in reshaping global finance.
Bitwise’s predictions provide a roadmap for what could be another groundbreaking year. With innovation, adoption, and regulatory progress accelerating, 2025 may cement crypto’s place at the heart of the financial system.